Market Roundup
• Canada Core CPI (YoY) (Jan) 2.6%, 2.8% previous
•Canada CPI (MoM) (Jan): 0.0%, 0.1% forecast, -0.2% previous
•Canada Foreign Securities Purchases (Dec): -5.57B, 14.27B forecast, 15.96B previous
•Canada Wholesale Sales (MoM) (Dec): 2.0%, 2.1% forecast, -1.8% previous
•US NY Empire State Manufacturing Index (Feb): 7.10, 6.40 forecast, 7.70 previous
•Canada CPI (YoY) (Jan): 2.3%, 2.4% forecast, 2.4% previous
•Canada Common CPI (YoY) (Jan): 2.7%, 2.7% forecast, 2.8% previous
•Canada Median CPI (YoY) (Jan): 2.5%, 2.5% forecast, 2.6% previous
•Canada Trimmed CPI (YoY) (Jan): 2.4%, 2.6% forecast, 2.7% previous
•Canada Foreign Securities Purchases by Canadians (Dec): 13.060B, 16.950B previous
•US NAHB Housing Market Index (Feb): 36, 38 forecast, 37 previous
•US CB Employment Trends Index (Jan): 105.06, 104.51 previous
Looking Ahead Economic Data (GMT)
• 00:30 Australia Wage Price Index (QoQ) (Q4) 0.8% forecast, 0.8% previous
• 00:30 Australia Wage Price Index (YoY) (Q4) 3.4% previous
• 01:00 New Zealand RBNZ Interest Rate Decision 2.25% forecast, 2.25% previous
Looking Ahead Events And Other Releases (GMT)
• 01:00 New Zealand RBNZ Rate Statement
• 01:00 New Zealand RBNZ Monetary Policy Statement
•02:00 New Zealand RBNZ Press Conference
Currency Summaries
EUR/USD : The euro edged lower on Tuesday as U.S.–Iran nuclear tensions fueled market uncertainty and a risk-off mood among investors.Iran and the U.S. reached an understanding on key “guiding principles” during a second round of indirect talks, though a deal is not yet imminent, according to Iranian Foreign Minister Abbas Araqchi.Investors are also awaiting minutes from the Federal Reserve’s last meeting and key economic data later this week. The dollar typically strengthens during periods of uncertainty, as investors flock to U.S. Treasuries and reduce exposure to equities. The euro fell 0.34% to $1.181, tracking its sixth straight session of losses against the dollar. Immediate resistance can be seen at 1.1872(38.2%fib), an upside break can trigger rise towards 1.1974(Jan 30th high).On the downside, immediate support is seen at 1.1783(SMA 20), a break below could take the pair towards 1.1724(50%fib).
GBP/USD: Sterling fell sharply on Tuesday after UK data showed the jobless rate rose to a five-year high in December and wage growth slowed, reinforcing expectations of further Bank of England rate cuts.Unemployment climbed to 5.2% in Q4 2025 from 5.1%, the highest since 2020 and, excluding the pandemic, the highest since 2015. Wage growth excluding bonuses eased to 4.2% year-on-year, down from 4.4%, while regular private-sector pay slowed to 3.4% from 3.6%.The BoE held rates at 3.75% earlier this month, but more policymakers than expected supported a cut, prompting markets to raise bets on further easing this year. Immediate resistance can be seen at 1.3650(SMA 20), an upside break can trigger rise towards 1.3672(38.2%fib).On the downside, immediate support is seen at 1.3547 (50%fib), a break below could take the pair towards 1.3439(Lower BB).
USD/CAD: The Canadian dollar weakened against the U.S. dollar on Tuesday as the greenback gained broadly, while domestic inflation data raised expectations that the Bank of Canada may resume its rate-cutting cycle.Canada’s annual inflation eased to 2.3% in January from 2.4% in December, helped by a sharp drop in gasoline prices, while higher food and clothing costs provided upward pressure. Analysts had expected inflation to remain at 2.4%.Investors now assign roughly a 35% probability to a BoC rate cut this year, after the central bank kept its benchmark rate at 2.25% since October. Earlier this month, markets had been leaning toward a rate hike as the next move.Meanwhile, oil, one of Canada’s major exports, traded 1.3% lower at $62.11 a barrel as concerns over U.S.–Iran tensions eased.. Immediate resistance can be seen at 1.3694 (38.2%fib), an upside break can trigger rise towards 1.3803 (Higher BB).On the downside, immediate support is seen at 1.3492(23.6%fib), a break below could take the pair towards 1.3465(Lower BB).
USD/JPY: The U.S. dollar eased on Tuesday as optimism over Prime Minister Sanae Takaichi’s economic policies supported the Japanese yen.Takaichi’s historic election win on February 8 has focused market attention on whether she will continue advocating for the Bank of Japan to maintain low interest rates.On Monday, Bank of Japan Governor Kazuo Ueda met with Takaichi for their first bilateral discussion since the ruling party’s landslide victory. The meeting offered a potential forum to discuss the central bank’s rate plans amid speculation that rising living costs, partly driven by a weak yen, could prompt a rate hike as early as March or April. Immediate resistance can be seen at 154.25(50%fib) an upside break can trigger rise towards 154.69(SMA 20) .On the downside, immediate support is seen at 152.30 (61.8%fib) a break below could take the pair towards 151.40 (Lower BB).
Equities Recap
European shares rose on Tuesday, led by gains in financials and healthcare, as investors monitored geopolitical talks and the potential impact of AI on business models.
UK's benchmark FTSE 100 closed up by 0.79 percent, Germany's Dax ended up by 0.30 percent, France’s CAC finished the day up by 0.54 percent.
U.S. stocks ended Tuesday with modest gains, recovering from early losses as technology shares rebounded and financials offered support.
Dow Jones closed up by 0.07 % percent, S&P 500 closed up by 0.10 % percent, Nasdaq settled up by 0.14% percent.
Commodities Recap
Gold fell more than 2% on Tuesday as signs of progress in U.S.–Iran talks reduced safe‑haven demand, while a stronger U.S. dollar added to selling pressure.
Spot gold fell 2.2% to $4,884.46 per ounce by 01:30 p.m. ET (1830 GMT). U.S. gold futures for April delivery settled 2.8% lower at $4,905.90 per ounce.
Oil prices dropped about 2% to a two-week low on Tuesday as hopes grew for eased U.S.–Iran tensions, after Iran’s foreign minister said both countries agreed on key principles in nuclear talks.
Brent futures fell $1.23, or 1.8%, to settle at $67.42 a barrel, while U.S. West Texas Intermediate (WTI) crude fell 56 cents, or 0.9%, to settle at $62.33.
